Small and medium businesses are the biggest initiators of every economy in every country as they have the highest numbers of employees and are the most important segment in business. Often businesses like these cannot achieve financial resources which they need for their own development and business survival. This final asignment was made by many researches and analysis, in which I'll go over how many there are, finantial resources and other important factors for the market. In this asignment you will be introduced to the most significant sources of financing like Europian funds and other important centers, associations and banks which support financing of small and medium businesses. Many businesses have survived on the market excatly by gaining incentives from EU funds and similar centers. Access to sources are of special importance for small and medium businesses because business which do not follow the trends of commerce often are indebted or they are funding inefficiently. Nowadays, many businesses are lagging on the market and will have difficulty following contremporary requirements of flexibility on the market. Because of this it is very important to do research in potential sources of financing of small and medium businesses in the Republic of Croatia with a purpose of getting a clear insight into the markets situation. It is also important to make a statistical comparison with the Europian Union in hopes of resolving any financial problems, moreso use sources which have not been used or developed in Croatia. This whole issue of financing is to create of bigger and stronger competitiveness of Croatia in relation to other countries, especially those of the EU.